St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1887-11-04
1T is so Certain to Wind Up
al To-Day That It's Office
y Is for Rent.
He CpiticiZeS the Methods of
ss Doing Business at the
Ky G Institution.
Depositops Will Be Paid Dollar
for Dollap--StOckhOlderS
the Losers.

his parlOr at the Ryan, 'sbut the stock
holders will have to make up the amount.
At the meeting to be held tomorrow
the question of going into liquidation
will be definitely determined, and with
the proxies now in my possession, and
| Judging from the tenor of my CONVERSE
tions with stockholders of st. Paul and
Minneapolis, the requisite twO-thirds
vote will be cast for pursuing this
| course. In fact our arrangements are
so well matured that the building now
occupied by the bank is in the market
for rent and our future transactions
will be conducted at the Merchants
National bank of St. Paul. President
Merriam has kindly consented to give
US his aid in the matter. and Cashier
Slower, of the Third National, will at
tend to the clerical work necessary.
Such of the depOsitors of the Third
National as have not received their
money, will find it awaiting them at the
Merchants bank after Saturday of this
week, and notes due should be paid at
the same place. In fact we merely
tranfer our Office to the Merchants
bank for the transaction of our bust
ness.
'sBy going into liquidation we curtail
expenses preliminary to winding up the
affairs of the Third National without
the Intervention of a receiver. Such an
official would only prolong matters and
keep the depOsitors in suspense, whereas
our purpose is to expedite matters as
much as possible and discharge our OBJ
legations to our depOSitors by giving
them 100 cents on the dollar. Through
the courtesy of Mr. Merriam. who has
rendered his services gratis and by his
knowledge of the banking business. the
stockholders will be enabled to collect
debts due the bank that a receiver
might not be so fortunate with.
''Just what amount the stockholders
WILL BE ASSESSED
can only be estimated approximately.
hut L would dispose of my holdings at
50 cents on the dollar. One piece of
paper that is absolutely worthless calls
for S41 600, and we will not be able to
realize dollar of it. So far as the sum
leaned Rood, Maxwell & Co. is con-
cerned, amounting to over $500, 900,
about One-fOurth of that sum will be re-
turned to us. Negotiations to that end
are now pending and will be consunl-
| mated at the stockholders meeting to-
morrow.
=. An examination of the books of the
broken bank shows most lamentable
ignorance of the ordinary safeguards to
be pursued in loaning money and every
thing seems to have been Subordinated
to the idea of obtaining ten per cent in
.tereSt, no matter what kind of paper
was presented at the counter. In one
case, some of the indOrsers were
clerks in the borrowers employ.
''Since my arrival in st. Paul, | have
been told by number of firSt-clasS bus
mess men, the only ones with whom
care to have dealings, that when they
proposed to do business with the Third
National bank, the ten per cent interest
stood in the way and especially as they
could obtain money for eight per cent
from other banks Consequently, Sec
Ond-claSS paper was sought and hOnOred
and this in nutshell explains the pres
ent condition of affairs. There is not
throughout the whole transaction the
slightest evidence against the integrity
of President Mann but he seems to have
exercised very poor judgmentin his ne
gotiations and dealings in paper offered
him. The same is true of Cashier Slower,
as honest a fellow as ever lived and
graduate from our bank, at New AL
bany."
The amount of deposits with the
Third National bank was in round num-
bers about $500. 900, the bulk of which
has already been paid over to the de-
pOsitOrS, and we have the ready money
now in our hands to meet every obliga-
ton, and we shall do this until every
cent is paid over to the rightful own
ers. In the transaction of the neces-
sary business to effect the proposed
liquidation, no one has seem fit to ask
President Mann why he did thus and
so, and principally for the reason that
it would merely be in the nature of
= CRYING OVER Split MILK,
so we resolved to put the best face on
the matter and bear our losses. We
will esteem ourselves lucky, refer to
the stockholders, if we get off with the
payment of 100000, which means that
we will receive about 90 cents on the
dollar for stock that few weeks ago
was worth S125. 80
Very little attention seems to have
been paid to the desires of the directors
of the stockholders in making loans,and
I'm one instance Mr.. Staples has said that
when thousands of dollars were adj
vanced, he would not have given an
equal number of cents for the paper.
Summed up, the situation of affairs is
substantially that the stockholders have
assumed all the debts of the
concern, and they are all
well able to do so, trusting
to the collection of certain notes that
are deemed good to partly reimburse
them, and thus after a brief existence
of three years terminate the business of
the Third National bank. 1t Is all bosh
to think of continuing the bark, and
this seems to be the prevalent opinion
among practical bankers and business
men who have been consulted with on
the subject"
s'AmOng our assets are $4,000 in gov
eminent bonds. per cents, l think,
now on deposit at the treasury depart
ment in Washington as guarantee of
circulation, and their disposal at the
ruling market rates will bring us in
S14,OO0 premium. We have only made
a hasty examination up to date and
there may be some more good paper
discovered, and no means will be left
untried to realize every cent that is
possible on debts due the concern. AS
a mark of confidence that is reposed in
our getting at least half of
our money out of the concern l must
mention that to-day l was offered real
estate for my stock at the rate Of so
cents on the dollar. but / preferred to
hold on to it, as am confident that it
will eventually yield me better return
for the money that l have invested"
''Any depoSitOr that wants his money
already stated, find it awaiting him at
the Merchants National bank"
For a New Hail Site.